According to Herald Tribune , Medicaid recipients would choose managed care plans where health care providers should determine benefits under the proposed legislation. The system would work similar to HMO Plans (Health Maintenance Organizations). But the state would take the bill and pay the provider for managed services. This type of plan would work very differently Medicaid controlled government. Currently, health care benefits are decided by the state and only certain doctors willing to take on Medicaid beneficiaries.
Florida legislators believe that the privatization of Medicaid will force health insurance companies to compete for the 2.7 million Medicaid beneficiaries in the state as insurers compete for consumers in the individual market. This could reduce fraud and costs to the state. Right now, the state spends about four dollars on providing the insurance program and not on the actual care.
Critics of the plan believe that people have to choose between plans and that this process would risk medical services for a population that is more vulnerable than the private market.
The Association of Florida Hospital is also concerned that they will lose bargaining power to reduce costs and will pay higher bills if they are required to contract with HMOs. reimbursement rate can be established, but doctors must still negotiate on patient care. In response to these concerns, hospice groups and health care providers that serve people with intellectual disabilities have asked to withdraw from the plan.
Quite an interesting idea. This will be even more interesting to see how it pans politically.
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